The Value of a College Degree in a Changing Economic Landscape

Strategic Insights -

As the US higher education system navigates radical shifts in federal policy, economic development, and social issues, one question remains: is a college degree still worth the investment? The answer is a resounding yes. According to a growing body of research, a college degree is directly connected to higher entry-level wages and long-term career success. In fact, the gap between those expected to leave and enter the workforce with college degrees is significant, with an estimated 18.4 million workers with a college degree expected to enter the US workforce by 2032, while only 13.8 million workers will enter with a degree.

Key Takeaways:

  • A growing body of research shows that a college degree is directly connected to higher entry-level wages and long-term career success.
  • An estimated 18.4 million workers with a college degree are expected to enter the US workforce by 2032, while only 13.8 million workers will enter with a degree.
  • The gap between those expected to leave and enter the workforce with college degrees creates a serious problem, with restrictions on immigration limiting the number of potential workers available to fill open positions.
  • Certain fields, such as nursing and teaching, are expected to have high retirement rates in the coming decades, with fewer new workers available to fill positions.
  • The overall average salary for the class of 2023 one year after graduation was $63,850, compared to $63,850 earned by the class of 2022, and $46,100 earned by those with a high school diploma.
  • People who earn more generally have more money to support their families and contribute to their immediate communities, and their higher taxes contribute to the US economy.
  • People with college degrees are also more likely to volunteer and give back to their communities.

Statistics:

  • 35% of people surveyed said that college is "very important," while 40% said it is "fairly important" and 24% said it is "not too important."
  • In 2010, 75% of surveyed people said that college was "very important," while 21% said it was "fairly important" and 4% said it was "not too important."
  • 16% of registered nurses in the US in 2023 were international nurses, though this percentage is higher in certain states like California.
  • The total college graduate enrollment in the US grew about 14% from 2010 to 2022.
  • The average tuition and fees at public universities grew about 29% since 2006.
  • The total debt outstanding of forgrad students tripled since 2007 and stood at about $180 billion in 2024.
  • Full-time, year-round workers ages 25 to 34 with a high school diploma earned $46,100 in 2022.
  • The overall lifetime earnings for those with college degrees is about $1 million more than people with a high school diploma.

Sources:

  • (The Conversation)
  • (Georgetown University's Center on Education and the Workforce)
  • (The National Association of Colleges and Employers)
  • (The Rockefeller Institute)
  • (The State University of New York system)